Ethereum deposit growth brings back the confidence in DeFi

After the flash loan exploit that took place last month, and had resulted in attackers taking out quite a significant amount, decentralized finance ecosystem took a serious beating. However, the situation seems to finally be changing for the better, and it is currently seeing a major recovery as Ethereum deposits grow.

This was not the first time that Bitcoin maximalists cracked down on anything that is not BTC itself. Mt.Gox is still one of the best examples of the unforgiving nature of the crypto industry. However, these days, things move rather fast, and the exploit was seemingly left in the past, as DeFi sees a serious comeback.

DeFi sector sees slow recovery

The situation is understandable, considering that DeFi is just as new as all other crypto networks and platforms, which means that there is more than enough room — and need — to evolve and change. As far as it is known, the exploits that were misused by the attackers last month are now patched, and the decentralized autonomous organizations have improved governance and security.

With the issues gone, the investments have returned, and platforms like bZx, which was hit with two flash loan exploits, are managing to bounce back. In fact, the industry insider, Camila Russo, recently noted that bZx ETH deposits are surging with yields over 20%, which are attracting the users back into the DeFi sector.

Russo added that the amount of ETH in the platform is 22% below the levels it had seen before the exploits. However, the situation is definitely changing for the better. Defipulse also noted that the amount of locked Ethereum coins is once again approaching 3 million ETH, even though this is still 10% lower than last month.

The value of the amount in US dollars depends on Ethereum’s price at any given time, but right now, it sits at around $972 million.

Russo also pointed out that another DeFi platform, dYdX, will bring trading fees on March 10th, where taker fees will be between 0.05% and 0.5%, depending on the trading pair and the size of the order. Maker fees will not be introduced.